The updated AIA 2017 project contract documents include a new, comprehensive insurance exhibit that will allow for easier, more frequent updates as conditions in the insurance market change.
The insurance exhibit is intended to be used in conjunction with the A101–2017, A102–2017, and A103–2017 contract documents. One goal of the document’s drafters was to make it easier for users to transmit the insurance exhibit to the user’s insurance advisor or broker for evaluation and completion. AIA says the new insurance exhibit will allow changes to be made without having to revise the General Conditions document.
The insurance exhibit requires either the owner or the contractor to purchase property insurance written on a builder's risk “all-risks” completed value or equivalent policy form. It should be of an amount that can cover the total value of the entire project on a replacement cost basis. If the project is a remodeling of an existing structure or addition to one, the property insurance must also cover the existing structure against physical loss or damage on a replacement cost basis.
The insurance must be maintained through substantial completion and continued or replaced through the contractor’s one-year period for correction of the work. The insurance must include the interests of the owner, contractor, subcontractors, and sub-subcontractors, and the interests of mortgagees as loss payees.
In addition to the required property coverage, the agreement may include optional extended property insurances that the owner will purchase and maintain. This could include
Ordinance or Law Insurance; Expediting Cost Insurance; and Loss of Use, Business Interruption, and Delay in Completion Insurance.
For more information, visit: www.aiacontracts.org.
Related Stories
Codes and Standards | Aug 15, 2018
ICC creates new committee on building safety and security
Will include experts from many different disciplines.
Codes and Standards | Aug 14, 2018
Philadelphia adopts 2018 IECC energy code, while state opts for 2015 code
City is one of the first jurisdictions to adopt newest code.
Codes and Standards | Aug 9, 2018
Denver’s goal of 100% renewable energy by 2030 includes net zero energy buildings
Community solar programs for low income residents part of plan.
Codes and Standards | Aug 8, 2018
Too much parking in U.S. cities proving costly
As car ownership rates drop, excess parking seems more wasteful.
Codes and Standards | Aug 7, 2018
International Fire Safety Standards (IFSS) Coalition created
Professional associations and building standards organizations join forces.
Codes and Standards | Jul 31, 2018
Workers allegedly held in captivity by construction subcontractor in San Jose pay theft case
Contractor pays $250,000 in back wages in Dept. of Labor enforcement action.
Codes and Standards | Jul 17, 2018
Heat island effect can turn deadly in extreme conditions
Of all the impacts of global climate change, it’s extreme heat that kills more Americans each year than any other weather-related event.
Codes and Standards | Jul 17, 2018
NIMBYism, generational divide threaten plan for net-zero village in St. Paul, Minn.
The ambitious redevelopment proposal for a former Ford automotive plant creates tension.
Codes and Standards | Jul 17, 2018
In many markets, green features are more of a requirement for apartment renters
Renters in many U.S. cities have come to expect green features in apartments that they rent, with an eye toward energy efficiency and healthy indoor air.
Codes and Standards | Jul 16, 2018
Length of North American construction disputes continues to increase
They already far exceed global average.